Incorporation

There is no legal necessity for a sport or recreation club to become incorporated if it remains a voluntary association. However any not-for-profit group with five or more members should consider the benefits of becoming incorporated. These include:

having club members protected, to a certain extent, from being sued individually if someone is injured while involved in activities run by your club;

improving your club’s fundraising ability and eligibility for grants. Many local councils insist on it before allocating funds; and

making it easier to enter into leases, to open and operate bank accounts and to borrow money.

Not-for-profit sport and recreation clubs generally incorporate under State or Territory legislation known as the Associations Incorporation Act. The Acts are not identical in each State or Territory. You should refer to the relevant legislation in your State or Territory. Information on the relevant legislation is usually available from departments of fair trading or their equivalents in each State and Territory.

For further information on the Association Incorporation Model Rules you can visit the constitutions page.